Apollo Commercial Real Estate Finance (NYSE:ARI) Reaches New 12-Month Low – Should You Sell?

Shares of Apollo Commercial Real Estate Finance (NYSE:ARI) reached a new 52-week low on Thursday . The company traded as low as $6.81 and last traded at $7.0050, with a volume of 1271307 shares trading hands. The stock had previously closed at $10.54.

Wall Street Analysts Forecast Growth

ARI has been the topic of several recent analyst reports. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Apollo Commercial Real Estate Finance in a research report on Friday, May 22nd. Wall Street Zen downgraded Apollo Commercial Real Estate Finance from a “hold” rating to a “sell” rating in a report on Saturday, May 2nd. Zacks Research raised shares of Apollo Commercial Real Estate Finance from a “strong sell” rating to a “hold” rating in a research note on Monday, April 20th. Bank of America began coverage on shares of Apollo Commercial Real Estate Finance in a report on Tuesday, May 5th. They set a “neutral” rating and a $11.50 target price on the stock. Finally, BTIG Research lowered shares of Apollo Commercial Real Estate Finance from a “buy” rating to a “neutral” rating in a research report on Thursday, June 25th. Two research analysts have rated the stock with a Buy rating and four have given a Hold rating to the company. According to MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $11.33.

Apollo Commercial Real Estate Finance Stock Down 32.9%

The company has a quick ratio of 81.80, a current ratio of 81.81 and a debt-to-equity ratio of 0.68. The firm has a 50 day simple moving average of $10.76 and a 200-day simple moving average of $10.60. The stock has a market cap of $926.45 million, a P/E ratio of 8.72 and a beta of 1.35.

Apollo Commercial Real Estate Finance (NYSE:ARI) last released its quarterly earnings data on Wednesday, April 29th. The real estate investment trust reported $0.22 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.29 by ($0.07). The business had revenue of $58.63 million during the quarter, compared to analyst estimates of $77.85 million. Apollo Commercial Real Estate Finance had a net margin of 48.01% and a return on equity of 7.87%. On average, equities research analysts forecast that Apollo Commercial Real Estate Finance will post 0.88 earnings per share for the current fiscal year.

Apollo Commercial Real Estate Finance Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, July 15th. Shareholders of record on Tuesday, June 30th were given a dividend of $3.75 per share. This represents a $15.00 dividend on an annualized basis and a yield of 212.0%. This is a boost from Apollo Commercial Real Estate Finance’s previous quarterly dividend of $0.25. Apollo Commercial Real Estate Finance’s payout ratio is 123.46%.

Insider Buying and Selling

In other Apollo Commercial Real Estate Finance news, Director Carmencita N.M. Whonder sold 4,574 shares of the company’s stock in a transaction on Wednesday, May 13th. The shares were sold at an average price of $10.93, for a total value of $49,993.82. Following the transaction, the director directly owned 24,799 shares in the company, valued at $271,053.07. The trade was a 15.57% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. 0.52% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of ARI. GAMMA Investing LLC raised its holdings in Apollo Commercial Real Estate Finance by 60.4% in the 4th quarter. GAMMA Investing LLC now owns 2,832 shares of the real estate investment trust’s stock valued at $27,000 after acquiring an additional 1,066 shares during the period. Bessemer Group Inc. boosted its holdings in shares of Apollo Commercial Real Estate Finance by 388.7% during the first quarter. Bessemer Group Inc. now owns 3,255 shares of the real estate investment trust’s stock worth $34,000 after acquiring an additional 2,589 shares during the period. Farther Finance Advisors LLC grew its position in shares of Apollo Commercial Real Estate Finance by 60.2% in the fourth quarter. Farther Finance Advisors LLC now owns 5,037 shares of the real estate investment trust’s stock valued at $49,000 after purchasing an additional 1,892 shares during the last quarter. Parallel Advisors LLC grew its position in shares of Apollo Commercial Real Estate Finance by 61.7% in the first quarter. Parallel Advisors LLC now owns 4,656 shares of the real estate investment trust’s stock valued at $49,000 after purchasing an additional 1,777 shares during the last quarter. Finally, Danske Bank A S bought a new position in shares of Apollo Commercial Real Estate Finance during the third quarter worth approximately $50,000. Institutional investors and hedge funds own 54.43% of the company’s stock.

About Apollo Commercial Real Estate Finance

Apollo Commercial Real Estate Finance, Inc (NYSE: ARI) is a real estate finance company structured as a real estate investment trust (REIT). The company focuses on originating, acquiring and managing a diversified portfolio of commercial real estate debt and preferred equity investments. As an externally managed vehicle, ARI leverages the expertise and resources of an affiliate of Apollo Global Management, a leading global alternative investment manager.

ARI’s investment strategy is centered on providing first mortgage loans, mezzanine debt financing, bridge loans and preferred equity across a broad range of property types, including office, retail, industrial and multifamily assets.